Philippines 'on track' to sell dollar bonds, may move yuan issue


Posted at Nov 29 2017 03:31 PM

US dollar banknotes are shown in this photo. Sertac Kayar, Reuters/FILE PHOTO

MANILA - The Philippines is "on track" to sell US dollar bonds at the start of 2018, while the planned sale of yuan-denominated debt may be moved to the first quarter, Finance Secretary Carlos Dominguez said Wednesday.

Manila usually sells dollar bonds at the start of the year. President Rodrigo Duterte's economic managers raised $2 billion in their first foray into the global debt market last January.

The size of the dollar issue has yet to be determined, Dominguez said.

Earlier this month, the Philippines signed an agreement with Bank of China for a planned 1.4 billion yuan (P10.7 billion) panda bond issue, which was originally planned for the 4th quarter of this year.

"The Bureau of Treasury is awaiting final approval from the People's Bank of China so the schedule for issuance has been moved to first quarter," Dominguez said.

"Similar to other fund raising activities, panda bond offering is subject to favorable market conditions in the onshore RMB (renminbi) market and provides competitive pricing compared to other funding options," he said.